UTCC: Minimum wage rise helps drive Thai economy

BANGKOK, 27 April 2012 - An economic expert views that the minimum wage rise to 300 baht per day helps drive the Thai economy; however, the new wage is still not sufficient for workers’ daily living expenses.

University of Thai Chamber of Commerce (UTCC)’s Center for Economic and Business Forecasting Director Thanawat Polwichai said that the minimum wage rise in seven provinces, applicable to roughly about 5 million workers and costing 70-80 billion baht, helps drive the economy.

According to the Director, the raise is a good stimulation for workers in the wake of the worst flood in decades; however, it is still not enough, adding that many workers want the minimum wage to be adjusted from time to time to match the rise in living standard and cost. They also want the government to help them cope with the rising product prices, especially necessary goods.

The director explained that about a quarter of all workers are worried about losing their jobs as entrepreneurs have to pay them higher wage.